The United States International Trade Commission has recently voted to continue its investigations into imports of corrosion-resistant steel products from a range of countries, including Australia, Brazil, Canada, Mexico, the Netherlands, South Africa, Taiwan, Turkey, the United Arab Emirates, and Vietnam. The commission determined that there is a reasonable indication that the U.S. industry is being materially injured due to these imports being sold at less than fair value and potentially subsidized by the governments of Brazil, Canada, Mexico, and Vietnam.
This decision, led by Chair Amy A. Karpel and supported by Commissioners Jason E. Kearns, David S. Johanson, and Rhonda K. Schmidtlein, is a significant step in addressing unfair trade practices that could undermine the competitiveness of domestic producers. The USITC’s findings indicate that the influx of these corrosion-resistant steel products poses a serious threat to U.S. manufacturers, which could lead to job losses and economic instability in the steel industry.
Following the USITC's affirmative determination, the U.S. Department of Commerce will proceed with its investigations, which are crucial for evaluating the validity of the claims against foreign steel imports. The preliminary antidumping duty determinations are expected to be announced around February 12, 2025, while preliminary countervailing duty determinations will be available on November 29, 2024. These investigations will examine the pricing practices of foreign producers and whether they have received government subsidies that distort the market.
The affected countries have become significant players in the global steel market, and their products are often less expensive than domestically produced steel. This pricing advantage can be attributed to various factors, including lower labor costs and government support. As a result, U.S. steel producers are concerned that they cannot compete fairly, which has prompted the USITC to take a closer look at these imports.
The USITC's public report, titled Corrosion-Resistant Steel Products from Australia, Brazil, Canada, Mexico, Netherlands, South Africa, Taiwan, Turkey, United Arab Emirates, and Vietnam (Inv. Nos. 701-TA-733-736 and 731-TA-1702-1711 (Preliminary), USITC Publication 5558, October 2024), will detail the commission's findings and provide insights from the investigations. This report aims to inform policymakers and the public about the potential impacts of these imports on the U.S. steel industry.
